B2B strategies for surviving global crises: A resource dependence perspective on the COVID−19 pandemic

Abstract

Global crises like the COVID−19 pandemic can have unprecedented consequences for the operations and performance of all types of companies, including business-to-business (B2B) firms. Drawing upon resource dependence theory, we postulate a negative impact of the pandemic on B2B firms’ stock returns, and we propose that a high level of machinery assets, more focused business, and a low level of customer concentration make a B2B firm better mitigate losses in such a crisis. Using a sample of 2,981 US-listed firms during the COVID−19 pandemic period, we quantitatively demonstrate the impact of the COVID−19 crisis and empirically validate our theory. These findings contribute to the literature on crisis management in B2B settings and resource dependence theory, and they have practical implications for B2B firms that are assessing their resilience to future global crises.